DISCONTINUED OPERATIONS

12 Months Ended

Dec. 31, 2023

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

On February 1, 2023, the Company sold all of its equity interests in Vertex OH, which owned our Heartland refinery located in Columbus, Ohio (the “Heartland Refinery”), for an $87.3 million net cash settlement. The sale also included all property and assets owned by Vertex OH, including inventory associated with the Heartland Refinery, and all real and leased property and permits owned by Vertex OH, and all used motor oil collection and recycling assets and operations owned by Vertex OH. On June 9, 2023, the Company received $4.8 million as a net working capital adjustment settlement pursuant to the sale agreement.

Accordingly, the Company has presented this division (i.e., the Heartland Assets and Operations) as discontinued operations.

The following summarized financial information has been segregated from continuing operations and reported as Discontinued Operations for the years ended December 31, 2023, 2022 and 2021 (in thousands):

	For The Year Ended December 31
	2023		2022		2021
Revenues	$	7,366	$	85,495	$	58,248
Cost of revenues (exclusive of depreciation shown separately below)	4,589		51,815		32,467
Depreciation and amortization attributable to costs of revenues	124		1,566		1,566
Gross profit	2,653		32,114		24,215
Operating expenses:
Selling, general and administrative expenses   (exclusive of acquisition related expenses)	632		8,501		6,727
Depreciation and amortization expense attributable to operating expenses	21		251		251
Total Operating expenses	653		8,752		6,978
Income from operations	2,000		23,362		17,237
Other income (expense)
Interest expense	—		(39)		(59)
Total other expense	—		(39)		(59)
Income before income tax	2,000		23,323		17,178
Income tax expense	(1,572)		(4,678)		—
Income from discontinued operations, net of tax	428		18,645		17,178
Net gain on sale of discontinued operations, net of tax of $17,110 thousand, $5 thousand and $—, respectively	53,769		22		—
Net income from discontinued operations	$	54,197	$	18,667	$	17,178

The assets and liabilities held for sale on the Consolidated Balance Sheets as of December 31, 2022, are as follows.

	December 31, 2022
ASSETS
Accounts receivable, net	$	7,490
Inventory	1,674
Prepaid expenses	183
Total current assets	9,347
Property and equipment, at cost	19,746
Less accumulated depreciation	(9,140)
Property and equipment, net	10,606
Operating lease right-of use assets	44
Intangible assets, net	563
Total noncurrent assets	11,213
Assets held for sale	$	20,560
LIABILITIES AND EQUITY
Current liabilities
Accounts payable	$	2,750
Accrued expenses	629
Operating lease liability-current	45
Total current liabilities	3,424
Liabilities held for sale	$	3,424